Nearly one-quarter of all renters in the United States have income at or below 30% of the area median income,
Three-quarters of these extremely low-income renters are forced to spend more than half of their income on the cost of rent and utilities due to the ongoing shortage of affordable housing, and
There are just 31 affordable and available rental units for every 100 extremely low income renter households, according to NLIHC’s new report.
The report provides a detailed look at the housing needs of low income renter households across the country by examining the gap between the supply and demand for affordable rental units at the national and state level, as well as for the 50 metropolitan areas with the largest renter populations. No state has more than 56 units affordable for every 100 extremely low income renter households and no metropolitan area has more than 47.
New Jersey has less than the national level of affordable and available units per 100 households or below the extremely low-income (ELI) threshold. The report contains Metropolitan Area Comparisons that compares the Jersey City/Newark and Camden regions.
Current data show that home-ownership rates and rental vacancy rates are at historic lows, factors which both drive up rents. At the same time, incomes are only just beginning to increase slightly. Furthermore, the bulk of new multifamily units are only affordable to middle or high-income households, and there is a continued loss of public and assisted housing through demolition and conversion to market-rate developments.
Taken together, these trends indicate that without government intervention at the federal, state, and local level, the gap will keep growing.
Increased funding for Housing Choice Vouchers can help close the gap in New Jersey. Vouchers are a stepping stone that help families with children, seniors, and people with disabilities keep a roof over their head and make ends meet.